You will have to set up How to Earn points first to configure how to Redeem points:
As you have set how to earn points based on the Price value of the products, you can set how the earned points can be redeemed as a discount price in the cart.
Conversion Rate for redeeming points:
Set the value of points redeemed for a discount. That is the value of the points that customers earned that can be redeemed for a discount.
For example, if you want customers to earn a $1 discount for every 2 points, enter 2 and 1.
It is not recommended to use unless the redeemed point message in cart shows without tax and applies with tax.
Choose how redemption points should work when WooCommerce coupons (or third party) coupons are used?
This option will be triggered when you have Redeemable points and also third-party coupons including Woocommerce coupons applied in the cart. You can choose between:
Both Redemption discounts + Coupon discounts can be applied to the cart.
Only points can be redeemed and discount applied (Other coupons will be disabled)
Only a third-party coupon can be applied (The user cannot use points for a discount).
Let points be redeemed only for the following order statuses:
The mentioned orders statuses will be taken at the time of which the points are actually redeemed from the user account.
You can set it to Completed order status if you want the user points should only be redeemed in the backend.
Note: The user will redeem points only in the cart. This setting is to set this for the Backend redemption process.
Label for Redeemed Points:
This label will be shown in the cart once the user redeemed points for a discount.
Points Discount: -$18.50
Enable this in order to allow customers to choose how many points they want to redeem for their orders.
How it is shown in the cart?
The minimum discount amount for redemption:
You can set a minimum amount at the cart at which redemption is possible.
For Example, the Minimum redemption amount is set to 100.
As per my conversion rate, for every 2 points, 1$ can be redeemed.
This means the user should at least have 200points in his account and also $100 subtotal in his current cart to redeem the points so that the user can redeem.
The maximum discount amount for redemption
Set Maximum amount of redemption per order.
Here it is set at $250, that user can only use 500points per order to redeem an amount of $250.
You can also set up a percentage maximum discount for the cart.
If it is set to 10% of the cart, the user can redeem his points for a 10% discount of the cart value.
The maximum discount amount for per product quantity redemption:
Enable this to set a maximum amount of redemption that should occur per product.
You can set up either a percentage or Fixed per product discount.
I have set 10 fixed., that is for each product in the cart only $10 can be discounted.
In Product and Category Settings you can be able to override these settings of a Maximum discount for products.
Product and Category configurations: